NYLIM megatrends report flags shift toward market-led global liquidity regime
TLT•New York Life Investment Management’s 2026 Megatrends report flags a shift toward market-led global liquidity across major developed economies. Private, non-official investors hold about 60% of outstanding U.S. Treasury debt, up from 37% in 2014.
1. Liquidity shifts toward markets
The report says non-bank financial institutions are taking a larger role in capital provision, weakening the reach of repeatable central-bank liquidity backstops. It says portfolio construction increasingly treats liquidity as a total-portfolio variable as the Total Portfolio Approach is adopted more widely. The analysis expects a more fragmented liquidity architecture that can absorb shocks, though liquidity may be less uniform in periods of stress.
